US Begins Limited Third Wave of Tariff Refunds
October 13, 26
(IDEX Online) - The US has begun a third phase of tariff refunds for diamond and jewelry importers, but it is limited to companies that sued the government over President Donald Trump's emergency tariffs and secured court orders for refunds.
US Customs and Border Protection (CBP) launched Phase III on October 6. It covers importers with cases before the US Court of International Trade in which judges ordered customs officials to reopen finalized import entries, remove the disputed duties and refund the money paid.
Many businesses that paid the tariffs cannot yet claim refunds through this phase, even though the US Supreme Court struck down the tariffs imposed under the International Emergency Economic Powers Act (IEEPA) in February. A separate legal battle over refunds for importers that did not sue is continuing.
To qualify under Phase III, an importer must be a plaintiff in a relevant case, with a court order directing CBP to reliquidate the entry. It must also have provided CBP with a valid importer of record number by July 30. The importer of record is the party legally responsible for the customs entry.
On October 8, the Court of International Trade certified a class action involving importers that paid IEEPA tariffs but had not filed their own refund lawsuits. The ruling could open a route to refunds for a wider group of businesses, although it does not mean all affected importers can immediately claim repayment through Phase III.
Sara Yood, president and chief executive of the Jewelers Vigilance Committee, has advised jewelry businesses to keep detailed records of tariffs paid, payment dates and corresponding import numbers to support potential refund claims.
US customs officials have estimated that about $166 billion in IEEPA duties were collected across roughly 53 million import entries, covering imports well beyond the diamond and jewelry trade.
Importers should check which duties they paid under IEEPA, who was listed as importer of record and whether their entries and court cases meet the requirements. Tariffs imposed under other legal authorities are not covered by this refund program.
Video grab of President Donald Trump courtesy White House.